Natural Rubber Surges on Tight Domestic Supplies
June 30, 2016
Natural rubber prices have firmed up in the domestic market following the tight supplies in the market. Due to monsoon, rubber tapping has reduced which has caused domestic prices to surge two month high of Rs. 143 per Kg.
However the natural rubber prices in the international markets are showing uptrend despite the prediction of supply surplus in the top producing countries. International prices of sheet rubber are currently moving at Rs. 115-120 per kg, around 15% higher as compared to the prices during previous month.
The domestic tyre companies have found problems in the imported rubber and they had to replace the raw material with the local produce. This has further tightened the supply and led to the shooting up of rubber prices in the domestic market.